Jim Cramer's Getting Back to Even

by James J. Cramer, Cliff Mason (Primary Contributor)

In his new book, Cramer offers the most detailed guidance he has ever given on how to invest in a changed market. Savvy investors will not just survive; they will thrive. Cramer begins with six rules for protecting the money you have and making sure that you have the money you need. (Rule Number 3: Skip the first four stages of portfolio grief: denial, anger, bargaining, and depression.) Your portfolio won't fix itself; you have to do that. It's easy to close your eyes and pretend that it all never happened, but you'll never get back to even that way, much less profit from the opportunities that this new market offers to investors who know where to put their money. One key to making investment decisions is to watch what the mutual-fund managers are doing and -- better yet -- to anticipate their moves. Cramer tells you how to do this. Their decisions will move markets, and you want to profit from these moves.

Cramer explains why dividends may be another key to picking winners in the post-crash stock market, and he introduces a category he calls the accidental high yielders -- stocks whose prices have taken a beating, boosting their yields. Some of these stocks could make a major move upward; Cramer tells you how to spot the ones that could take off.

For the first time in any of his books, Cramer offers a portfolio of twelve stocks that he says are poised to profit from the economic recovery. And he gives investors a list of five regional banks that could make big moves and return a handsome reward to shareholders. As always, Cramer explains why investors can't just take his word but have to "buy and homework" on these stocks to make sure that their stories don't change.

If you're near or in retirement, your opportunities to recover and profit are more limited than those of younger investors. Cramer tells you why stocks should still be an important part of your investment portfolio. And for younger investors, Cramer explains why you must take advantage of what could be a rare opportunity to buy stocks at fabulous prices and set up a terrific portfolio.

Cramer offers advanced tips for investors who have the time and are willing to invest it to profit from the post-crash stock market. Call options may seem like exotic and dangerous investment tools, but Cramer shows why they can be a conservative investing strategy that can bring quick returns in a recovering market. He explains how to use IPOs and secondary offerings wisely to juice your investment portfolio.

And as if all that weren't enough, Cramer has come up with twenty-five new rules for the post-crash market. (Rule Number 4: It pays to follow the dumb money.)

Getting Back to Even is indispensable for any investor still reeling in shock from the 2008-2009 market collapse and wondering where to go from here. From investment strategies to specific stock recommendations, it's the foundation for the portfolios that will soar when the economic recovery takes hold.

Genres: Business, Finance, Nonfiction, Money

342 pages, Hardcover

First published January 1, 2009

Reviews

[Ron II · Rating 1 out of 5]

The very title of this book should raise red flags, because it should be obvious the whole point of investing IS NOT to break even, but to get ahead. Numerous academic studies have dis-proved Cramer's thesis that individual investors should attempt to pick a portfolio of stocks and ride them to the moon. Not only do most of these folks end up riding their stock picks to the basement, but so do Wall Street's professional stock pickers, who on average, don't beat low cost index funds and ETFs.

After two bear markets over the past decade and a financial crisis to boot, one would logically think the investing public would stop returning to the same old places for broken advice. But as the Proverbs states, the "dog returns to its vomit."

In summary, it's curious how some of loudest mouths on Wall Street who helped their followers to fall behind, now propose to help them get back to even. And it's furthermore amusing, the gullible masses are still eager to eat it up.

[Brad Solomon · Rating 5 out of 5]

Awesome book with great advice about how to invest based on fundamentals. My concern going into this was that the advice would be outdated, since it all came from the year following the recession and much has changed since then. How much practical advice could I possibly get from a book about investing that is 5 years old? Plenty. The fist thing that stuck out to me is that there's a great chapter on options trading. That alone makes the book worth it. The second great part about this book is that it lends so much legitimacy to Cramer's methodology and advice. If only I had read this in 2009 (and had money to invest)! I especially like the part where he talks about 12 stocks that you should buy after the recession because they'll be most likely to come out of it stronger. 3M and Home Depot just to name a couple. Take a look at a 5 year chart on those two names, and then tell me Jim Cramer doesn't know what he's talking about. Makes me more likely to follow his advice going forward. Oh, and I really love the part when he talks about the fact that the "Mobile Phone" boom is going to be huge, and that it would be smart to invest in companies like Apple because they seem to be doing it right. Probably would have been a good idea at the time. It's not just the stock picks that make this a great book. His 26 rules for investing are really important in any market. The only thing I didn't like about this book is that it caused me to become frustrated that I wasn't paying more attention to the market at the time it was written! Oh well. That's why I watch this guy every day, he constantly has great ideas and important rules to follow.

[Tim · Rating 5 out of 5]

Yes the market tanked. Yes we got screwed by others' mistakes. Yes the market is less reliable than it ever has been. No, you should not take your money elsewhere. Now is the time to be in the market, and this is the book that will tell and show you how. Full blog post: http://www.timferro.com/wordpress/arc...

[Christine · Rating 5 out of 5]

definitely not a boring book about stock market.

[Mike · Rating 5 out of 5]

Love this book.

[John Johnson · Rating 5 out of 5]

Cramer wrote this book in 2009 when he saw the economy beginning to recover from the crash of 2008. The book was intended to be advice to investors who had lost money in the crash on moves they could make to recover and get back to where they were before the crash. Because he used advice on a lot of specific companies, a lot of the information is outdated, but the ideas are still useful in the event of another crash. It is good to understand what Jim is teaching here so that you will know what to do when it happens again. Stock market crashes and corrections do happen occasionally, so I expect it will happen again in the next ten years.

If you are not concerned about how to recover from a crash, the chapter on options would still make the book worth buying and reading. I think Cramer's advice on how to use stock options conservatively and his strategy for locking in profits while increasing your chances of even more profit is brilliant.

Jim Cramer writes with a style that is as energetic and interesting as his television show. If you are a fan of his show, then you will enjoy this book. Dated, yes, but the ideas behind the specifics in the book are timeless.

[Greg Kopstein · Rating 4 out of 5]

I started investing two years ago and read Real Money, also by Jim Cramer, to understand more of the market. I learned a lot, practiced his “Buy and Homework” policy, watched Mad Money on CNBC regularly, and...my portfolio rose by 13%! The bull market was roaring and full steam ahead! But the market fluctuates and that 13% net was left on the table. So, back to the drawing board and more homework. Enter: Getting Back to Even.

This book had a lot of beginner strategies. Although slightly dated by years - its 10yrs old! - it was helpful to understand the market’s ups and downs.

I did find myself fading towards the end, but it was still an enjoyable and educational read. There is something to be said about authors who genuinely enjoy their work.

[Mark Skinner · Rating 5 out of 5]

Enjoyed reading this book and look forward to learning more from Mad Money Man Jim Cramer. I appreciate his enthusiasm and confidence in investing and how it can work for you if you do homework.

I've started one of his other books already and enjoy listening to him and appreciate his actionalerts charitable foundation and I hope to be able to get to that point and share my investments with others who can use capital.

Thank you Jim.

[Travis Butcher · Rating 4 out of 5]

good to pull out next major pulllback- alot of the info not pertinent now in the last yrs of a bull market

[Piotr Szybicki · Rating 4 out of 5]

For some one interesting of playing the game of Wallstreet and winning it some good advices there.

[Chris Ginther · Rating 4 out of 5]

B+ NOT RELEVANT

[Larry · Rating 3 out of 5]

I read this book to see what I can do to help me with retirement (401K planning). Cramer's main message, don't buy and forget about your investments, retirement funds and non-retirement funds. Be active, do research on the companies, mutual funds you choose. Make changes when necessary. It's OK to sell and buy another investment. Think long term and do not worry about all of those short term problems in the economy. He has a realy good chapter on dividend paying stocks, I will be reviewing this chapter from time to time.

[Israel · Rating 4 out of 5]

Bought mostly for the chp. On Options but found other parts to be valuable either b/c they were new or reminded me of things I already new.
One thing to be aware of is that the stocks recommended here should not be blindly bought even if you like and trust Cramer.
Good thing is that he says that himself; do your own homework and if buying something doesn't feel right then DON'T.

That being said...I do recommend this book!

[Joe Rapisarda · Rating 5 out of 5]

Loved it! I enjoyed Jim Cramer's point of view, which swims against the tide of conforming wisdom of investing. Cramer is a bit more of a trader than me. I'm more of a long term investor, but after a decade of subpar results from the S&P 500, I am learning how to adapt to this up and down market to make a profit from these swings. I definitely recommend this book.

[Alvin · Rating 3 out of 5]

Cramer's hyperbolic personality is off putting for some but he has a knowledge base that should be appreciated. This book dates back to the immediate post crash era and thus seems a little dated. I wanted to re-read for his insights on dividend stocks (chp 4) and options as stock replacements (chps 7-8). Still very good descriptions if stretched a bit by stories of his successful trades.

[Barbara Maponga-chirombe · Rating 5 out of 5]

Before, I read this book I had little knowledge about investing. This book taught me about stocks, mutual funds, dividends, etc. I have done more research on money... I can safely say i am now well invested into this complex financial world. And more importantly have diverse portfolio. Thanks Jimmy!!

[Michael · Rating 3 out of 5]

GET BACK!
great if you're really willing to spend time and money betting and working the stock market. also great if you like Cramer and are willing to pick out the things he says that you like, cuz not everything he says is for everybody.

[Karen · Rating 4 out of 5]

If you can get past Jim's crazy TV persona he is actually has a lot of good advice for those wanting to manage their own stock portfolio. I learned a lot and it gave me confidence that I am on the right track.

[L.C. Fiore · Rating 3 out of 5]

He took a risk by committing certain predictions to print back in 2009. I wonder if he'd write the same book now with the benefit of hindsight? Still, his perspective is a good one to add to the personal investing arsenal.

[David · Rating 4 out of 5]

This is second Cramer book (1st was Confession of ...). Picking this up to start thinking about becoming more of an active investor. Great insights. Practical advices. I may even follow some of them.

[Johnny · Rating 4 out of 5]

You either like Jim Cramer or you don’t. I found many of his tips useful – especially the “do your homework”. You will not find a simple way to get rich but a lot of background knowledge that helps you understand the stock market.

[Danny · Rating 5 out of 5]

The best book Jim has written since real money!

[Leslie · Rating 5 out of 5]

Lots of useful tips and stock recommendations. It is written the way Jim Cramer speaks on his television show. .

[Michael · Rating 2 out of 5]

Not as terrible as I expected it to be.

[Glasspixie Pixie · Rating 3 out of 5]

Well see...I kinda hate his show. It's way too manic for me. My Dad gave this to me for my birthday so I'm going give it a chance.

[Michael Cloin · Rating 4 out of 5]

Introduced me to the concept of deep in the money calls. Great addition to an investing foundation.

[Maureen · Rating 3 out of 5]

some suggestions in following the financial market are dated but easier to stand than his television shouting matches

[Darwin Ross · Rating 4 out of 5]

A good book for information, if you are able to ignore any material and advice that is dated.

[Kris · Rating 3 out of 5]

Don't listen to your fund manager... get the facts!